LA to Supply Clean Energy to 70,000 Homes

March 26, 2007

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The LA City Council has approved two agreements that will provide enough renewable energy to power 70,000 homes. These agreements, each of which provide 25 megawatts of renewable power for a total of 50 megawatts, enable LADWP to meet an additional two percent of the goal to increase the City’s renewable power supply to 20 percent by 2010.

The green power purchase agreements will go into effect April 1. The agreements between LADWP and Powerex provide for the purchase of a firm 50 megawatts, or 438,000 megawatt-hours, of renewable energy annuallyA?AA¢AA¢aAA¬AA¢a?A¬?enough power to serve approximately 70,000 homes each year. During the first year, LADWP will purchase renewable energy from several small hydro-electric generating facilities in the Pacific Northwest. Over subsequent years LADWP may receive other types of renewable energyA?AA¢AA¢aAA¬AA¢a?A¬?including small hydro, biomass, landfill gas and windA?AA¢AA¢aAA¬AA¢a?A¬?through the agreement from generating facilities located in the Pacific Northwest.

Through the agreements, LADWP will pay a fixed price, based on a natural gas indexed formula, per megawatt-hour, for an annualized cost not to exceed $39 million in fiscal years 2006-07 through 2011-12. The energy will be delivered to LADWP at the Nevada-Oregon border and shipped to Los Angeles via the Pacific DC IntertieA?AA¢AA¢aAA¬AA¢a?A¬?a north-south transmission line with capacity owned by LADWPA?AA¢AA¢aAA¬AA¢a?A¬?so that no additional transmission infrastructure or transportation will need to be built.

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